Sensex, Nifty Slip as Profit Booking Weighs on Markets
- Sensex fell 519 points and Nifty dropped 166 points amid profit booking and weak global cues.
- Broad-based selling hit IT, auto, FMCG, and PSU banks, while only consumer durables and telecom gained.
- LIC, Ola Electric, Apollo Hospitals, Lupin, and MCX to announce Q2 results, Paytm, IndiGo, and Grasim reported mixed numbers.
The Indian stock market witnessed a sharp decline on Tuesday, November 4, as investors booked profits amid weak global cues and broad-based selling pressure. The Sensex dropped 519 points, or 0.62 percent, to close at 83,459.15, while the Nifty 50 fell 166 points, or 0.64 percent, to end the day at 25,597.65. The broader indices also mirrored this weakness, with the BSE Midcap index slipping 0.26 percent and the Smallcap index falling 0.69 percent.
According to a market note from Bajaj Broking Research, “Indian markets ended lower on November 4th, with the Nifty slipping below 25,600 amid broad-based selling. Weak global cues and profit booking on the weekly expiry session led to the selling pressure. India’s economic fundamentals, however, remained intact with a robust manufacturing PMI and steady GST collections, reflecting a healthy growth momentum”.
Sector-wise, except for consumer durables and telecom, all other indices closed in the red. IT, auto, FMCG, metal, power, realty, and PSU bank indices declined between 0.5–1 percent, while the broader market sentiment also stayed cautious.
Key Stocks to Watch
Several major companies will be in focus today as they report their second-quarter earnings. These include Life Insurance Corporation of India (LIC), Ola Electric Mobility, Apollo Hospitals Enterprise, Lupin, and MCX.
Paytm reported a massive 98 percent drop in consolidated net profit for Q2, with earnings slipping to Rs 21 crore compared to Rs 928 crore in the same period last year. The fintech major cited muted revenue growth and higher operational expenses as the key factors behind the decline.
National Stock Exchange (NSE), on the other hand, reported a strong performance for the quarter. Its total income stood at Rs 4,160 crore for Q2 FY26, with profit after tax rising 16 percent sequentially. For the first half of FY26, NSE’s PAT increased 11 percent year-on-year, supported by a robust 77 percent EBITDA margin.
Corporate Earnings Highlights
Indian Hotels Company Ltd (IHCL) reported a steep 48.6 percent year-on-year decline in net profit, coming in at Rs 285 crore for Q2 FY26 after adjusting for a one-time gain in the same quarter last year. Despite this, the company noted stable demand trends in the domestic hospitality market.
Grasim Industries posted a strong 76 percent year-on-year rise in consolidated net profit to Rs 553.48 crore for the September quarter, compared to Rs 314.63 crore in the same period last year. The company attributed the improvement to higher sales volume and better operational efficiency.
In contrast, aviation major IndiGo reported a net loss of Rs 2,582 crore for Q2 FY26, compared to a profit of Rs 2,176 crore in the previous quarter. The losses were attributed to elevated fuel costs and currency fluctuations impacting operational margins.
Hindalco Industries’ subsidiary, Novelis, announced that its free cash flow for the current fiscal year is expected to be hit by about $550–650 million following a fire incident at its New York facility in September. The company said that restoration efforts are underway, and insurance claims are being processed.
Other Key Developments
Adani Ports and Special Economic Zone and Adani Energy Solutions received an upgrade in outlook from ‘Negative’ to ‘Stable’ by Fitch Ratings. The credit agency cited a significant reduction in contagion risks across the Adani Group and a stronger financial position for both entities.
In the IT space, Tata Consultancy Services (TCS) renewed its 18-year partnership with Swiss engineering major ABB. The renewed agreement focuses on enhancing ABB’s digital infrastructure and deploying AI-powered IT operations to improve efficiency and innovation across its global operations.
Mahindra & Mahindra (M&M) is also in the news as reports suggest the automaker plans to offload its entire 3.45 percent stake in a private bank through a block deal valued at approximately $78 million (Rs 682 crore). The deal is expected to take place at a floor price of Rs 317 per share.
Market Outlook
Analysts believe that while short-term volatility may persist due to global uncertainties and profit booking, India’s macroeconomic fundamentals remain strong. Factors such as steady GST collections, rising manufacturing activity, and robust corporate earnings continue to support the long-term growth outlook.
Going forward, investors will closely monitor Q2 earnings reports, global market trends, and foreign fund inflows for near-term market direction. Experts suggest maintaining a cautious stance and focusing on quality stocks with strong balance sheets amid the current volatility.
As markets open for trade on November 6, all eyes will be on earnings-heavy stocks like LIC, Ola Electric, Apollo Hospitals, and Lupin, which could influence the market’s short-term trajectory.
